Podcast #165 | On the Rise of PBCs and Firm-Specific vs. Diversified Investor Duties

Episode #165 of the Boardroom Governance Podcast features Rick Alexander, the CEO of Shareholder Commons, an independent, non-profit organization that addresses social and environmental issues from the perspective of shareholders who diversify their investments to optimize risk and return. He is also a leading expert in public benefit corporations.

In this conversation, Rick and Evan explore the rise of PBCs and their growing role in new AI companies, particularly as venture capital pours into AI. They discuss OpenAI’s transition to a PBC, the implications of super majority voting structures, and the ongoing debate between staying private or going public.

They also dive into the backlash against ESG initiatives, Delaware’s evolving corporate landscape, and the McRitchie vs. Zuckerberg case, which raises important questions about directors’ fiduciary duties.

Throughout, they examine the balance between shareholder profit and broader societal impact, a crucial theme in today’s governance landscape.

You can listen to the episode directly in the Boardroom Governance Podcast website (where you can find all the show notes), or wherever you listen to your favorite podcasts such as in: Apple or Spotify.

You can also subscribe to the Boardroom Governance Newsletter at evanepstein.substack.com

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Pacifica Global was founded in San Francisco to serve as a leading corporate governance advisory firm. The mission of Pacifica Global is to help founders, executives, directors and investors solve some of their most complex corporate governance conflicts and challenges.